You are bullish on Telecom stock. The current market price is $100 per share. You borrow an additional of $10000 from your broker and contribute $10000 of your own to invest with . At the end of the transaction, the stock price goes up by 10%. Which of the followings is right? (Ignore fees and comissions) Your final return is equal to 10 Your final return is smaller than 10 There is not enough informatio Your final return is larger than 10%
You are bullish on Telecom stock. The current market price is $100 per share. You borrow an additional of $10000 from your broker and contribute $10000 of your own to invest with . At the end of the transaction, the stock price goes up by 10%. Which of the followings is right? (Ignore fees and comissions) Your final return is equal to 10 Your final return is smaller than 10 There is not enough informatio Your final return is larger than 10%
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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You are bullish on Telecom stock. The current market price is $100 per share. You borrow an additional of $10000 from your broker and contribute $10000 of your own to invest with . At the end of the transaction, the stock price goes up by 10%. Which of the followings is right? (Ignore fees and comissions)
Your final return is equal to 10
Your final return is smaller than 10
There is not enough informatio
Your final return is larger than 10%.
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